Record High U.S. Student Debt in ‘Serious Delinquency’ Tops $166 Billion

[angelatc]

https://www.bloomberg.com/news/articles/2019-02-16/u-s-student-debt-in-serious-delinquency-tops-166-billion?fbclid=IwAR2NtydykhpHU4hNbPnlXGWGhkqMBcGkA hqgKq5xGRbfVHrv03aaUsWssnI


Student-loan delinquencies surged last year, hitting consecutive records of $166.3 billion in the third quarter and $166.4 billion in the fourth.

Bloomberg calculated the dollar amounts from the Federal Reserve Bank of New York’s quarterly household-debt report, which includes only the total owed and the percentage delinquent at least 90 days or in default.

That percentage has remained around 11 percent since mid-2012, but the total increased to a record $1.46 trillion by December 2018, and unpaid student debt also rose to the highest ever.

Record high employment doesn't jive with this.

And no, the answer isn't letting people bankrupt it away. :rolleyes:

[juleswin]

https://www.bloomberg.com/news/articles/2019-02-16/u-s-student-debt-in-serious-delinquency-tops-166-billion?fbclid=IwAR2NtydykhpHU4hNbPnlXGWGhkqMBcGkA hqgKq5xGRbfVHrv03aaUsWssnI



Record high employment doesn't jive with this.

And no, the answer isn't letting people bankrupt it away. :rolleyes:

Its record low unemployment and not record high wages with high employment. .

[kcchiefs6465]

When you look at auto loan delinquencies you see the same thing.

I wonder what Congress will do when it is realized by many that their 84 month auto loan (which was needed to keep payments low enough for the average worker), is not worth the depreciated cost of their three to five year old vehicle?

[oyarde]

Well , it is a BS number anyway to keep it at 12 percent failure rate . It does not include people one month late , two months late or even 11 weeks late . It is really much worse . So , what is the real total by 2020 ?is it 2 Trillion or 3 Trillion ? or more ? . Then , do you really have a 30 percent failure rate of late payments of nearly 500 billion ?

[angelatc]

When you look at auto loan delinquencies you see the same thing.

I wonder what Congress will do when it is realized by many that their 84 month auto loan (which was needed to keep payments low enough for the average worker), is not worth the depreciated cost of their three to five year old vehicle?

They will create 96 month loan, and the Consumer Financial Protection Bureau will fine them a couple billion for producing cars that don't last as long as the loan. It's a win/win for the government as well as the automakers.

[kcchiefs6465]

They will create 96 month loan, and the Consumer Financial Protection Bureau will fine them a couple billion for producing cars that don't last as long as the loan. It's a win/win for the government as well as the automakers.
Don't ask me how but I think if all cars gave off zero emmisions this problem will be solved.

We need a WWII style overhaul. I know it's vague but trust me, you don't ask a fish how it swims, you know?

Next question.

[kcchiefs6465]

Its record low unemployment and not record high wages with high employment. .
Very good point.

It's times like these that make me really ponder: what would Che Guevara do, you know?

Probably a documentary, you know, maybe he'd camp outside of the wrong office for change? I think ultimately he'd settle for seizing the means of production and then executing gays but it's just so edgy to think about.

[jkr]

U
Can't
Get bl00d
From a
Turnip...

[RJB]

For the last 30 something years, banks have loaned 18 year old kids with absolutely no collateral up to a few hundred thousand dollars each for degrees that may earn minimum wage at the most, why are these banks still in business? (Rhetorical question.)

[Aratus]

Last but not least....